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Le notizie relative al debito estero e all'economia del Kenya

14 giugno 2005

THE DAILY NATION
Debt waiver a misnomer
Publication Date: 06/14/2005

Reports that Kenya will miss out on the debt waiver by the group of Eight most industrialised nations, better known as the G8, has raised some debate.
Yet, for Kenya, several things worked against the waiver. They include corruption in high places, mismanagement of public resources and failure to meet some of the IMF/World Bank conditionalities for donor assistance.
These have made it difficult to justify more external assistance.
The other side, though, is the argument that, in comparative terms, Kenya is doing better than many African states. That is to say, Kenya is not a basket case and, therefore, does not deserve a waiver under the Heavily Indebted Poor Countries (HIPCs) scheme.
Predictably, our leaders are now engaged in a chorus of recrimination, totally oblivious of their own role in the debacle. Many are shouting the country's good record at debt servicing as a reason for debt forgiveness, as others claim the G8 are out to economically strangle the country.
But that misses the point. There is no honour in seeking a debt waiver. In fact, what the leaders should be working for is to create an environment for economic growth and where individuals can be assisted to realise their full potential.
Among others, this means eliminating graft, ending mismanagement of national resources and instilling discipline into the public service.
Similarly, they need to learn diplomacy. The practice where some leaders throw vitriol and insults at diplomats and representatives of donor agencies does not give the country a good name internationally.
It is not the end of the road for debt forgiveness, though. Kenya can still make its case before the next G8 meeting. Tanzania and Uganda, along with 16 other African nations have done so and have been rewarded handsomely.
But the bigger picture is that the country should work towards self-sufficiency and avoid the path of donor dependence, which then later forces us to behave in such a beggarly manner.


13 giugno 2005

THE STANDARD
Shock as Kenya denied debt relief
Monday June 13, 2005
Biketi Kikechi and Ben Agina

Kenya’s exclusion from a multi-billion debt write-off by the World Bank and IMF for Africa’s poor countries was received with shock and consternation yesterday.
Finance ministers from the G8 countries did not enlist Kenya among 18 poor countries whose debts will be cancelled by the three multi-lateral donors.
They, however, took off the burden of repaying the debts from the shoulders of Uganda, Tanzania and Rwanda — Kenya’s major trading partners. The beneficiaries are classified as Heavily Indebted Poor Countries (HIPCs).
Disappointment that Kenya would still have to part with Sh78 billion a year servicing debts owed to multi-lateral and bilateral lenders was compounded by the fact that it is the only country in East Africa that failed to clinch the relief deal.
Kenya’s debt as of April 30 stood at Sh720 billion or 57 per cent of the Gross Domestic Product. Of the total Sh424 billion was external and Sh296 billion was domestic.
The principal amount the Treasury pays every year is Sh25 billion with an additional Sh8 billion in interest and penalties. If freed through a write-off, the money could be used to turn around key sectors such as education, health and tourism.
A debt-relief lobby group for Africa is sending nine members to Scotland to present the continent’s case at the G8-Leaders conference.
Leaders said they felt Western economic giants wanted to emasculate the country economically. The chairman of Parliamentary House Finance committee Mutahi Kagwe said HIPC structure appeared to reward countries that have not lived up to their commitment of repaying loans to bi-lateral and multi lateral lenders.
He said Kenya had always met its debt obligations but has never benefited from relief. "We have always paid our debts in spite of the economic hardships," he said.
He said the principle under which HIPC was created amounts to "miscarriage of justice". The Murkurweni MP charged that it was not fair for Kenya to be penalised for continuing to pay its debt whereas countries that cannot pay are the ones whose debts are being cancelled.
Assistant Minister for Trade Petkay Miriti described the situation as "very unfortunate indeed." He was concerned Kenya had met all conditions imposed by western capital over time and yet the goal posts kept changing.
Miriti, claimed the aim was "to see the country lagging behind others in the region." "It will be difficult for us because our neighbours will be investing that money in services and mobilizing trade when we are servicing debts," said Miriti.
The Assistant Minister urged donor countries to treat all sub-Saharan countries equally, if they were serious about the continent’s economic problems.
Cabinet Minister William ole Ntimama whose docket includes the public service said the country should now work hard to survive without foreign aid.
"We should consider finding ways of working without depending on aid and that can only be achieved through unity and hard work," said Ntimama. "I do not know if the reasons they usually give and that is bad governance and corruption but it will definitely hurt us," he added.
Assistant minister for Finance Henry Obwocha said the Kenya was not been considered in the category of the Highly Indebted Countries but was optimistic its turn would come soon.
"Kenya is not among countries that do not service its debts," said Obwocha. He promised to lead a Kenyan delegation to Geneva, Switzerland on June 20 to a debt management conference where he hopes to state the country’s case. "We hope to be considered for debt relief after this meeting," said Obwocha.
Kabete MP Paul Muite called on Kenyan leaders to stop whining about the debt waiver initiated by Britain and draw up the country’s own strategy. "We should suspend payment of the debt for five years and redeploy the money to needy sectors such as Education, Health and infrastructure," Muite said.
However, he explained that although this was radical move it was the only way that the country could develop. "We need to take radical steps to re-energise our economy. One such step is to suspend repayment of foreign loans," he said
Former Kenya Association of Manufacturers chairman Manga Mugwe said the country would have accelerated growth had debt been cancelled. He said interests paid annually could have given provided a major economic boost to sectors such as infrastructure.
He was pessimistic about the future of the East African Economic, saying Kenya needed to review its position. "The economic partnerships will not last, because you cannot sit and do business with a neighbour who has been given all advantages over you," said Mugwe.
The Chambers lobby group that for many months lobbied for debt relief said its members would head for Scotland to present their case. The Chief Counsel Ababu Namwamba said the lobby has prepared a special documentary called A Mortgaged Nation to be presented to G8 leaders.
"I will be there with nine members and enjoin other civil society groups from the continent to present our case," said Namwamba.


13 giugno 2005

THE STANDARD
Government to continue paying the price of foreign debt
Monday June 13, 2005
By John Oyuke

The failure by a group of rich nations to cancel Kenya’s external debt is likely to complicate the poverty eradication and regional integration efforts.
Cancellation of the country’s crushing external debt estimated at Sh402.2 billion, just slightly below the Sh404.3 billion recurrent expenditure for the 2005/06 financial year, would have offered a year of tax holiday for Kenyans.
The Government’s expects to raise Sh296.1 billion directly through taxation as part of its revenue target of Sh326.1 billion or 22 per cent of Gross Domestic Product (GDP).
The gross expenditure includes Sh27.1 billion in aid, ministerial expenditures of Sh257 billion and Sh147.3 billion for Consolidated Fund Services which, among others, consists of Sh26.9 billion for payment of interest on domestic and foreign debt.
Of the consolidated services, Sh23.4 billion is for pensions and gratuities, Sh5.3 billion for salaries, allowances and operational expenses for constitutional offices, Sh133 million in contributions to international organisations and Sh87.9 billion for debt repayment.
Debt cancellation is considered important to the shift of resources to reducing poverty, hunger and disease, which are key to realising the UN Millennium Development Goals (MDGs).
Kenya may soon lose its competitive edge against Uganda and Tanzania, given their treatments under arrangements such as the Heavily Indebted Poor Countries (HIPC) initiative. Rwanda has been included in the HIPC initiative.
Kenya is on the HIPC initiative list, but is considered to have a sustainable debt burden, according to the official HIPC initiative criteria, driven mainly by the International Monetary Fund and Word Bank.
However, trade experts believe that, like Nigeria, the exclusion from HIPC is been driven more by persistent concerns about economic and political management, despite the change in leadership.
State leaders had hoped to be granted some debt relief. Speaking last month before the new development, ministers Anyang’ Nyong’o, Charity Ngilu and Ochilo Ayacko said the Government would step up efforts to convince donors to cancel its debts.
Nyong’o said the State would use the G8 meeting set for July to pressure for inclusion in the Global African Social Facility to Aid initiative.


12 giugno 2005

THE STANDARD
Kenya may miss debt relief
Sunday - June 12, 2005

Government’s minimal success in the fight against graft limits chances of debt cancellation, writes Otsieno Namwaya in London.
Kenya’s chances of gaining from British Prime Minister Tony Blair’s campaign for the cancellation of Africa’s debts appear slim following an announcement that the programme will only benefit countries willing to carry out reforms to stem corruption and ensure good governance.
Ian Gleeson, an officer at the Foreign Affairs office told The Sunday Standard in London that if and when it finally rolls out, the programme would only benefit governments willing to meet conditions set out by the United Kingdom.
"Debt relief is going to be based on certain agreements with each government. We shall give relief only on condition that government officials agree to carry out certain reforms," Gleeson said.
However, he was quick to point out that the conditions would not be laid down in a similar manner to those of the World Bank and IMF.
"We are going to be more like partners with clear agreements," he said.
Among other things, the programme will lay emphasis on good governance and the war against corruption, issues over which the Kenya government has been at loggerheads with outgoing British High Commissioner, Sir Edward Clay.
When confronted about his vocal condemnation of graft, Clay said he was merely voicing the concerns of his government.
This will be the second time the country is missing out on incentives for economic growth extended by its development partners.
In 1996, Kenya failed to meet most of the conditions then required to benefit from the now moribund Highly Indebted Poor Country (HIPC) programme fronted by the World Bank and the IMF.
Blair has been seeking to have the Group of Eight richest countries relieve Africa of its $20 billion debt burden.
Blair’s new initiative seems to complement the on-going Africa Debt Relief Campaign mounted by Nobel Peace Prize winner and assistant minister for Environment, Prof Wangari Maathai. Her lobbying has taken her to several countries in Europe and Asia.
Since the 1990s when most development partners suspended economic aid to Kenya, the country’s debt portfolio has risen tremendously. Sometimes, interest on debts almost overshadows national Gross Domestic Product.
While the external debt portfolio stabilised mainly due to the freeze on development support, domestic debt rose significantly as the government resorted to borrowing heavily from the internal market.
Five years ago, Kenya’s GDP stood at $10.4 billion with an external debt of $6.34 billion. Today, the country’s external debt is estimated at $9 billion. The government reportedly uses about 40 per cent of its annual expenditure to finance interest on this debt.
Five years ago, funds spent on debt servicing and interest payments totalled $706 million while money earned from the export of goods and services amounted to $2.84 billion.
This was as compared to import earnings which stood at $3.57 billion. Simply put, Kenya had a net deficit of $737 million.
Five years ago, the country’s current account balance which is an indicator of foreign transactions on its income stood at $326 million. Foreign debt stood at $6.34 billion of which $2.61 billion or 41 per cent was owed to the World Bank and the IMF.
Last week, Blair while speaking on BBC TV said debt cancellation for Africa was bound to spark off economic development that could turn out to be "beneficial to Britain in the long run".
United States President George W Bush has been reluctant to lend support to Blair’s campaign, instead offering token amounts of money for famine relief in Africa.
Earlier in the week, Bush parried off Blair’s entreaties with some $674 million for emergency famine relief in the continent.
This may well end the possibility of 100 per cent relief from an estimated $50 billion that Africa owes the World Bank, IMF and other international financial institutions.
The United States is the biggest contributor to the World Bank and the IMF.
A section of the UK media has been calling on Blair to go ahead and table his $20 billion debt relief proposal before the G8 summit next month, even if Bush fails to support it.
Many have questioned Bush’s refusal to support Blair in his hour of need when the British premier nearly laid down his political career to support the US on its war against terrorism in Afghanistan and Iraq.


11 giugno 2005

REPUBBLICA ON LINE [www.repubblica.it]
Accordo tra gli 8 paesi più ricchi - Cancellato il debito di 18 nazioni
sabato 11 giugno 2005

Londra, il G8 ha deciso di tagliare 55 miliardi dovutialla Banca mondiale e al Fondo monetario internazionale. Si tratta di somme da restituire a Banca mondiale e Fmi - Ma è solo una parte del loro indebitamento estero

LONDRA - Un colpo di spugna su cinquanta miliardi di dollari. I paesi del G8 hanno deciso di cancellare il 100% del debito di 18 paesi poveri, soprattutto africani. L'accordo è stato raggiunto dai ministri delle Finanze degli otto paesi più industrializzati, riuniti a Londra. Saranno annullati immediatamente 55 miliardi di dollari, una somma che doveva essere restituita agli organismi finanziari internazionali, Banca mondiale, Fondo monetario e Banca africana di sviluppo.
L'occasione giusta per essere audaci. "E' l'intesa più ampia mai raggiunta dai ministri finanziari in materia di debito e povertà", ha detto Gordon Brown, ministro delle Finanze britannico, che ha annunciato l'accordo. "Era l'occasione giusta per essere audaci", ha aggiunto, precisando che entro 12-18 mesi, potrà essere cancellato il debito di altri nove paesi. Il ministro italiano dell'Economia, Domenico Siniscalco, parla di "intesa epocale", mentre l'americano John Snow, segretario del Tesoro, lo definisce "un momento storico".
Una cancellazione parziale. I paesi che beneficeranno immediatamente della cancellazione del debito sono Benin, Bolivia, Burkina Faso, Etiopia, Ghana, Guyana, Onduras, Madagascar, Mali, Mauritania, Mozambico, Nicaragua, Niger, Ruanda, Senegal, Tanzania, Uganda e Zambia. Complessivamente 6 miliardi di dollari verranno cancellati dal Fondo monetario, 44 dalla Banca Mondiale e 5 dalla Banca africana per lo sviluppo.
Questi 40 miliardi di dollari, però, sono solo una parte dell'indebitamento estero di questi paesi. Esso si compone, infatti, di debiti bilaterali, da restituire direttamente ai paesi ricchi che avevano prestato il denaro, e di debiti multilaterali, da pagare agli organismi internazionali. Secondo i dati della Banca Mondiale, il debito estero complessivo dei paesi dell'Africa sub-sahariana era di 231 miliardi di dollari nel 2003. Solo il 30% (circa 69 miliardi) di questa somma era dovuto ai donatori multilaterali, ossia Banca mondiale e Fondo monetario internazionale.
Le reazioni nel mondo. Zambia, Malawi, Nigeria, alcune delle nazioni che hanno ottenuto la cancellazione, hanno accolto positivamente la notizia. Moderatamente soddisfatti anche i sostenitori della campagna per la cancellazione del debito. "L'accordo è una buona notizia per la gente dei 18 paesi che ne beneficieranno - ha detto Romily Greenhill, della ong ActionAid - Ma non avrà alcun effetto per quei milioni di persone che vivono negli altri paesi (almeno 40) che hanno bisogno di un'immediata cancellazione totale del debito". Henry Northover, analista di Cafod, aggiunge: "Dobbiamo mettere fine a questo approccio di tipo tradizionale all'Africa. Il debito è solo una parte del problema. Bisogna ora aumentare gli aiuti fino a 50 miliardi di dollari all'anno".
E in Italia. "Finalmente un piccolo gesto concreto. Quaranta miliardi di dollari, però, sono davvero un'inezia - commenta Sergio Marelli, presidente delle Ong italiane - La cancellazione totale del debito dei paesi più poveri è assolutamente alla portata dei governi del G8".
Scettico anche Vittorio Agnoletto, europarlamentare indipendente del Prc, per il quale si tratta di un "importante passo in avanti", da sottoporre però a verifica, visto che in passato gli impegni sono stati spesso annunciati e non rispettati.
"E' un passo importante, ma ancora insufficiente rispetto alle esigenze in gioco - dice Riccardo Moro, direttore della Fondazione "Giustizia e Solidarietà", promossa dalla Cei per proseguire la campagna giubilare per la cancellazione del debito. "Parlare di decisione storica o epocale, come hanno fatto i ministri del G8 - aggiunge - è francamente fuori luogo e rischia di rasentare il cattivo gusto".
Intanto si muove anche il cantante Bob Geldof, organizzatore del "Live 8", il concertone intercontinentale in favore dei paesi poveri. In vista del G8 con in capi di Stato e di governo che si terrà il 6-7-8 luglio in Scozia, sta cercando di portare a Gleaneagle, sede dei lavori, un milione di persone per ottenere più aiuti per l'Africa.


8 giugno 2005

THE STANDARD
High Military Spending to Raise Eyebrow
June 8, 2005
Benson Kathuri

The Government has raised military expenditure by Sh5.3 billion even though there is no war looming.
The amount is far higher than the supplementary amount given to the crucial Health Ministry that is touted as the main pro-poor target.
"We cannot talk of economic development when the people are dying," said Mwiraria when he launched the Budget estimates on Monday.
He defended increases made to ministries of Health, Education and Water, but the huge increase in military expenditure now casts doubts on the Government's commitment to the fight poverty.
Kenyans, especially the opposition MPs have frequently complained over the excessive military spending and even suggested that the military personnel be re-deployed to help in social programmes like road construction to give reason for such huge spending.
The allocation to the defence department has now risen to Sh23.1 billion, up from Sh17.8 billion allotted last year.
The new expenditure is likely to raise eyebrows among the international lenders who have been pushing Mwiraria to focus expenditure on pro-poor programmes.
The estimates also failed to reveal how the money will be spent, hence denying the public the chance to track down the expenditure.
According to the estimates, it showed that only Sh198.3 million will be spent on non-uniformed personnel and there is no indication how the remaining balance would be used.
The International Monetary Fund team that is already in the country may raise questions over the expenditure.


8 giugno 2005

THE STANDARD
Slums Get Sh500 Million
June 8, 2005

The upgrading of urban slums is likely to speed up following the Government's decision to increase allocations to the programme.
Budget estimates released ahead of budget reading today indicates that the Government will spend Sh500 million on the programme in the next fiscal year.
Despite the increase, questions still linger as to the Government's commitment to its promise to construct 150,000 housing units annually.
Construction of the target units was not only to be realised through the slum upgrading programme but also completion of stalled housing projects and the promotion of special purpose vehicles.
Not much has came out of the programme in the form of special purpose vehicles nor has the Capital Markets Authority played any significant role in the current fiscal year.
The objective of the slum upgrading and low-cost housing programme is to improve the living conditions of millions of urban poor in Nairobi and Mombasa.
Under the programme, the Government was to develop slum upgrading and relocation plans including land adjudication and registration, expansion of water network and sanitation facilities, provision of electricity distribution points and up-grading of roads. The Government was also to enact a housing legislation to facilitate private sector expansion of low cost housing and financing.
Besides, the state was to provide a conducive environment for private sector participation in construction of low cost housing in selected town under concessionary terms.
Despite the significant shift in resource allocation for slum upgrading, it is not clear whether the Government is still keen on pursuing the promise it made on the provision of affordable housing for all Kenyans.
When the Narc government came to power in December 2002, it promised to provide 150,000 housing units per year. It is estimated that the Government has only built 335 housing units since it took over power against an expected cumulative total of 300,000.
Despite the conduct of a ground-breaking ceremony for 554 houses in Nairobi's Langata estate early this year no progress has been on site.
By now, the Narc government should have built 300,000 houses, according to Kitutu Chache MP Jimmy Angwenyi. "So far only 335 housing units have been built. It is shocking," he told Parliament last month.
He said Government had failed to provide the necessary incentives to prospective investors in the sub-sector. Angwenyi said a Kenyan based in the United States had expressed interest in building 60,000 houses but failed to get the necessary concessions from government.
Another investor of Asian origin was ready to construct 30,000 houses in Mombasa and an Arab constructor had indicated his readiness to built 20,000 units in Nairobi but were discouraged by lack of incentives.
Early last year, the Government denied that it had blocked the Dominion Group of companies from investing in low-cost housing in Nairobi.
Treasury said the group was denied a tax break "because tax holidays were available only to firms operating in the Export Processing Zones."
Finance minister David Mwiraria said there was no legal provision to extend tax holidays to businesses operating in the domestic market.
In January this year, the Government snubbed attempts by its wholly-owned National Housing Corporation (NHC) to have it guarantee a Sh5 billion housing bond at the Nairobi Stock Exchange.
Finance Permanent Secretary Joseph Kinyua said that the corporation's financial status was questionable and could not be guaranteed by the Government.
The move was the final blwo to a deal that would have set pace for other organisations to go into the market to raise money for developing houses.


7 giugno 2005

THE STANDARD
African States Unite in Debt Cancellation Calls
June 7, 2005
Eliud Miring'uh

Calls for the world's richest countries to cancel debts owed by African states dominated a regional meeting in Nairobi yesterday.
Delegates vowed to lobby for the cancellation of the debts ahead of the G8 Summit in Gleneagles, Scotland, next month.
The about 50 delegates from Kenya, Uganda, Tanzania, Ethiopia, and Eritrea had gathered at the African Medical and Research Foundation (Amref) headquarters to review a final report by the Commission for Africa (CFA).
The report is on problems in Africa and proposed solutions.
The CFA launched the report in March, and it has been the subject of debate in northern and southern Africa.
The southern African countries held a summit in Cape Town last week, where they discussed the report's implications to the continent.
The 17-member CFA, with nine representatives from Africa, was set up by British Prime Minister Tony Blair last year.
It was mandated to study challenges facing Africa and recommend solutions.
Blair, who will be the next President of the G8 and the European Union, hopes to table the commission's final report at the July Summit and use the recommendations to lobby for cancellation of debts.
Opening yesterday's meeting, Planning minister Prof Anyang' Nyong'o commended the report for highlighting the eradication of poverty and corruption, and good governance, among other issues.
He said the poverty issues were in line with principles of the New Partnership for Africa's Development (Nepad).
"If the CFA recommendations are implemented, they will help realise Nepad's vision of a socio-economic transformation agenda for Africa," said the minister.
Some of those present were outgoing British High Commissioner Sir Edward Clay, Amref director-general Michael Smalley and CFA commissioner, William Kalema.
Nyong'o said the report had identified corruption as a main impediment to Africa's growth, and it should be tackled.
He said for the continent to conquer corruption, it had to allow a free press and a dynamic civil society.
Dr Smalley said over 5,000 people died everyday of Aids in Africa and 40 million children were out school due to poverty.
"Corruption is a subject that has featured prominently as an impediment to Africa's progress (but) it is not unique to Africa. It is a battle that can be fought and won," said the Minister.


5 giugno 2005

THE STANDARD
Aid for the Rich
June 5, 2005
Alex Chamwada

As poverty reduction efforts take centre stage, reports emerge that money meant for Third World countries does not reach intended beneficiaries
British Prime Minister Tony Blair embarked on a marathon mission this week to convince western countries to increase aid to Africa. He is also set to take his campaign to America.
But as Blair intensified his efforts, a research in Britain revealed that well-heeled consultants and companies in the West are the biggest beneficiaries of the global aid system. According to the research, less than 40 pence in every pound goes to poverty eradication efforts in the developing world.
The Guardian of May 27, 2005, published the shocking findings of the research conducted by Action Aid. All indications are that the bulk of the money currently disbursed as aid is wasted, misdirected or recycled within rich countries. The report says that 61 per cent of aid flow is phantom rather than real, rising to almost 90 per cent in France and the United States.
The revelation comes barely a month before the UK takes over the chair of the G8, which Blair sees as an ideal opportunity to increase aid for Africa.
When he launched the Commission for Africa, Blair said the continent was "a scar on the conscience of the world". However, critics say rather than being a scar, the continent is actually a guinea pig for the West.
Economic experts say it is the West that impoverished Africa through capitalism, colonialism and slavery and, infact, continues to do so. It is in Africa that economic, social, political, scientific and military experiments are carried out. Furthermore, the West has been accused of contributing to brain drain in Africa, the worst hit sector being health. The British Medical Association has accused the UK of crippling sub-Saharan Africa's healthcare system by poaching staff.
This development has received generous coverage in the press with doctors proposing that the UK employs more home-grown doctors and limits the time that overseas recruits can train and work in the country. In 2003, 5,880 UK work permits were approved for health and medical personnel from South Africa, 2,825 from Zimbabwe, 1,510 from Nigeria and 850 from Ghana.
Action Aid says that failure to target aid at the poorest countries, runaway spending on overpriced technical assistance from international consultants, tying aid to purchases from donor countries' own firms and huge administration costs all deflate the value of the assistance. The report further indicates that compared with the UN target to spend 0.7 per cent of rich countries' GDP on aid, the West, including Britain, were spending far less. But the British Department for International Development (DfID) has rejected the findings saying Action Aid's figures do not stack up.
The UN has set millennium goals to eradicate global poverty by 2015. But critics say that with capitalism, Africa's match towards that goal will remain a pipe dream.
Take Kenya, for example. A recent survey published by The Sunday Standard showed that the bulk of the country's wealth is in foreign hands, and that if Kenya were a cake to be shared out, its citizens would only lay claim to 31 per cent of the total piece. The rest would go to foreigners.


1 giugno 2005

THE DAILY NATION
Why Growth Doesn't Always Reduce Poverty
June 1, 2005
OPINION
Janvier D. Nkurunziza *
Nairobi

Africa has the highest level of poverty in the world and is one of the two regions where poverty has not declined in the past 20 years.
As the United Nations Economic Commission for Africa's forthcoming "Economic Report on Africa 2005" shows, the proportion of the poor - those living on less that a dollar a day - halved between 1980 and 2003 at the global level, from 40 per cent to 20 per cent.
But in Africa, the share of the poor increased slightly, from 45 per cent to 46 per cent. Africa's poverty rate in 2003 exceeds that of the next poorest region, South Asia, by 17 percentage points.
Recognising the link between economic growth and poverty reduction, those who crafted the UN's Millennium Development Goals (MDGs) estimated that halving poverty by 2015 in Africa requires countries to achieve an average minimum growth rate of 7 per cent annually. Whether or not African countries will reach this goal is an open question.
Since the mid-1990s, African economies have been recording growth rates that are higher than world averages. According to the World Bank, the average growth rate for the period 1996-2002 in Africa was about 3.6 per cent, compared to the world average of 2.7 per cent. Growth in Africa in 2004 averaged 5.1 per cent, the fastest in eight years. Growth rates this year and in 2006 are projected at 4.7 per cent and 5.2 per cent, respectively.
These average rates mask stark differences between countries. In 2004, for example, Chad's 39.4 per cent annual growth rate contrasted sharply with Zimbabwe's -6.8 per cent economic contraction.
Nevertheless, there is no doubt that African economies, taken together, have recovered from the dark years of the 1980s. So the big question is why growth hasn't translated into poverty reduction.
One reason is that Africa's recent growth rates, while high by international standards, remain too low to have a substantial impact on poverty.
Initial conditions are so low that only high and sustained growth levels may have a noticeable impact on poverty reduction. In no year has Africa achieved the 7 per cent average growth rate required by the MDGs.
Consider Ethiopia. With its per capita GDP of about $100, a growth rate of 7 per cent means that a typical Ethiopian will increase his income by $7 a year. But if this rate of growth were sustained over a period of just 10 years, per capita income would double, which underscores the need for sustained high growth rates.
Very few countries in Africa have posted growth rates consistent with the MDGs threshold. In 2004, only six countries - Chad, Equatorial Guinea, Liberia, Ethiopia, Angola and Mozambique - had annual growth rates higher than 7 per cent. And only four countries sustained a growth rate of 7 per cent or more over the past five years.
Moreover, most of the observed growth was generated by capital rather than labour-intensive sectors. If the fruit of economic growth reaches the poor through employment creation, growth in capital-intensive sectors has a limited effect on poverty reduction.
Indeed, recent growth in Africa appears to have been fuelled by increases in oil exports and high oil prices. Eight of the top 10 performers in 2004 are either oil-exporting countries or post-conflict economies, with the latter's high annual growth rates explained mostly by the proverbial "dead cat bounce" - the low base period over which growth is measured.
Economic growth reduces poverty only if it benefits the poor, and the effect of growth on poverty reduction is a function of the pattern of income distribution.
Africa as a continent has the world's second highest measure of income concentration. This suggests that the new wealth created over the last 10 years has mostly benefited the rich.
To help reduce poverty, Africa must strive to increase its growth rates and sustain them over a long period. Moreover, there must be greater balance between capital-intensive and labour-intensive activities. But encouraging labour-intensive industries, which create jobs for the poor, must not be at the expense of capital-intensive industries.
Finally, Africa's income distribution must become more equitable. This is difficult, given that a skewed income distribution is usually a legacy of a country's history. But it is not impossible, particularly for those African countries that succeed in modernising their political institutions.

*Mr Nkurunziza works for the UN Economic Commission for Africa in Addis Ababa, Ethiopia.


1 giugno 2005

THE STANDARD
Widening Poverty Gap Worries Government
June 1, 2005
Benson Kathuri

The Government has expressed concern over the widening gap between the poor and the rich despite the modest economic growth recorded in the past two years.
Planning and National Development Minister Anyang' Nyong'o said less than three million people control half the country's national wealth.
He said the poorest three million control less than two per cent of the wealth, making them "the poorest of the poor who cannot afford the basics of life."
"At the national level, 56 per cent of Kenyans live below the poverty line, 10 per cent of the top rich take home 48 per cent of all incomes," Nyong'o said in a speech read by Permanent Secretary David Nalo.
"The 10 per cent of the bottom poor take home only 1.8 per cent of the national income and clearly such disparities in access to national wealth cannot be sustained," he said.
Nyong'o said the growing inequality was a major source of insecurity as thousands of youth remain unemployed to engage in crime.
The state of affairs has defeated the basic principles of social justice and would remain a threat to the stability required for sustained national wealth creation.
"We are witnessing the consequences of this inequality in form of increased crime, the high human toll taken by preventable diseases, particularly malaria, TB and HIV/Aids," Nyong'o told participants during the launch of the Kenya Community Development Foundation (KCDF) strategic plan 2005-2007.
When he launched this year's Economic Survey, Nyong'o decried the rising poverty level and asked leaders to stop glorifying the vice.
The grim picture casts doubt over whether Kenya would achieve any of the Millennium Development Goals agreed upon by Heads of State in New York, in 2000.
The KCDF chairman, Dr Mohammed Abdallah, said the goals are achievable if communities are empowered to mobilise resources and transform their lives.
KCDF has in the past five years given Sh120 million for community projects.
He said the communities must be trained to shun dependence.
"We know the communities have their own resources that can be harnessed for sustained development," he said.
"The leaders should not take the excuse of reduced donor support to escape from realities that the communities had enough resources that only needed to be mobilized," he said.


24 maggio 2005

AFRICAN WOMAN AND CHILD FEATURE SERVICE (Nairobi) – [http://www.awcfs.org]
Are Millennium Development Goals Feasible for Kenyans?
May 24, 2005
Betty Oyugi

"There are no causes of poverty, but only causes of wealth," Peter Bauer.

The late English development economist Peter Bauer was a proponent of letting the market rather than government lead development. For forty years in the post world war II period his was a lone voice against foreign aid to the least developed countries, preferring instead to advocate the path of inflows of private capital.
With only a few months left for the review of the Millennium Development Goals (MDGs) plus five scheduled to take place in September this year in New York where the world leaders will show their commitments in achieving the MDG gaols, Kenya is still far from the target.
Already 56 percent of Kenya's population live below the poverty line and the figure is projected to increase to 65.9 percent by 2015. In the rural areas, poor people live on US$ 17 per month whereas the figure is US$ 36 per month in urban areas. This translates to Ksh. 1296 and Ksh. 2808 a month respectively.
The Kenyan Government has been working towards the attainment of MDGs by reviewing the whole budgetary process to ensure the allocation of funds strictly to priority areas.
It is also strengthening and entrenching the public expenditure review to help the government cut down on wasteful expenditure and ensure proper monitoring and accountability of public funds.
The Kenyan Government has made efforts to enhance the welfare of the poor, through policies such as Economic Recovery Strategy (ERS) for Wealth and Employment Creation 2003-2007, the Poverty Reduction Strategy Paper (PRSP), the National Development Plan 2001-2007 and the Medium Term Expenditure Framework (MTEF). A process which also included key Kenyan stakeholders.
Finance Minister David Mwiraria says that at least Ksh. 120 billion is needed to implement the ERS and that the government is sourcing for funders to help them raise this money.
Kenya's immediate post independence economic development blueprint was the Sessional Paper No.10 of 1965, which outlined the government's commitment to eradicate three vices of hunger, illiteracy and disease.
More recently, the Government launched the ERS Strategy for Wealth and Employment Creation for 2003-2007.
With an economic growth record, that is far much below seven percent, that is required to achieve MDGs, Kenya may be far from achieving her targets by 2015.
Poor countries like Kenya need to improve on, accountability and transparency to achieve the goals they committed to themselves.
The stumbling block for Kenya currently is corruption; a major blow that the government is now experiencing is the resignation of Ethics and Governance Permanent Secretary (PS) John Githongo who was an engine towards zero tolerance on corruption.
Factors that sustain poverty are thought to be, inefficient use and allocation of resources, corruption, bad governance, poor health and malnutrition.
In a country where half of the population are women with most of them illiterate, the achievement of these goals by 2015 is bleak.
Dr. Richard Muga, Director National Council for Population and Development (NCPD) says that the entry point to the attainment of MDGs is the improvement of illiteracy to Kenyans.
Another priority that he says needs to be considered is the National Social Health Insurance Fund (NSHIF) the government needs to increase expenditure per capita on health.
On the road to getting into governing Kenya, the NARC's manifesto had it spelt out that there will be affordable and preventive healthcare.
If this is not put into consideration, the attainment of MDG 4, which is on Child Mortality, shall be one of the dreams that is not realised.
If Gender equity and Equality is not put into consideration the achievement of MDGs will be another mountain that needs to be climbed.
Nyaradzai Gumbomzvanda, Regional Director UNIFEM says that gender mainstreaming should be at the center stage towards the attainment of MDGs as issues of Gender equality are equal to economics.
"This shall be a direct linkage towards achieving MDGs and adds that the new Kenyan Constitution would be a handy tool, if implemented," she points out.
Minister of Gender, Sports and Social Services Ochillo Ayacko agrees with her, but is quick to add that internatonal conventions do not target Gender equity well.
The Kenyan poor should be involved in the MDG's process so that they views can be included to see if the MDG's target can be achieved.
Interestingly, most of them, do not know what MDGs are, they cannot read or write which makes it hard for them to read newspapers. Most of them are women who don't own radios, which cover vast areas as a mode of communication.
The problem however is not resources, but there are artificial reasons as to why these goals may not be easy to achieve. These are insecurity, property rights, licensing of businesses and culture.
James Shikwati, Director Inter Region Network (IREN) says that; Africa has a lot of resources and wealth but poses a question if people's minds are at work to realise what they have. According to him, the country has got potential to make these goals attainable even without relying on foreign donors.
"The Kenyan transport infrastructure needs to be improved to cover what we are loosing with poor road networks," says Shikwati.
But poor infrastructure is also another problem Kenya is facing. For example in Nairobi, where because of poor transportation, the country looses Ksh. 18 billion per annum, according to reports from the Kenya Ministry of Roads and Works. And this does not take into account extra time people spend on travelling.
Therefore for Kenya to make the life of many people who live in poverty, apart from attempting to achieve the MDG's goals, there are still some national problems which are linked to good governance which it has to achieve first.
If Kenya can achieve the MDG's goals as expected, they join the world as in improving the livelihoods of many and ast Jeffrey Sachs, the Director of the MDGs Advisory team estimates that if the goals are to be met globally; 500 million people will escape poverty by 2015, 250 million are to be spared from hunger and 30 million children will live past their fifth birthday.


19 maggio 2005

CISANEWS [www.cisanews.org]
KENYA: Catholic Church Calls for Cancellation of Foreign Debt
Publication Date: May 17, 2005

NAIROBI, Kenya, May 17, 2005 (CISA) -The Catholic Church has added its voice to a growing call to international creditors to write off Kenyas -and Africas- crippling debt.
We expect the governments of creditor countries to implement the total cancellation of the debt owed by Kenya, to relax restrictive monetary policies and encourage imports from the developing world, Kenyas 28 bishops said in a Pastoral Letter read in Nairobi on Tuesday, May 17, 2005.
The launch of the Pastoral Letter, On the Burden of International Debt,. fell within a new weeklong campaign (May 15-22, 2005) spearheaded by the Kenyan Debt Relief Network (KENDREN) and the Catholic Economic Justice Africa.
Despite receiving US$ 17 billion in loans and aid, Kenyas economy continued to decline, the bishops said.
In as far as debt servicing reduces people to poverty while its creditors determine Kenyas political, economic and social destiny, debt is essentially a human rights issue,they said and blasted corruption on the part of our government officials. . . We cannot denounce the evil of foreign debt without accepting our responsibility for the growth of poverty among us.


10 maggio 2005

IRIN [www.irinnews.org]
Getting on board ActionAid's anti-poverty campaign
5 May 2005

NAIROBI, 5 May 2005 (IRIN) - Weakened by age, 90-year-old Mary Wanjiku Munene sat in her one-room house in the sprawling Kibera slum in Kenya’s capital, Nairobi - a room she shares with her seven grandchildren who were orphaned by AIDS.
"Our home is falling apart," she said. "This child [pointing to her great grand daughter] is handicapped. At the special school they say we have to pay for her to be admitted. Sometimes we have no food and we just drink water and go to bed. Please help a poor woman like me," she added.
Munene was speaking to a group of reporters and representatives of the UK charity, ActionAid, on Wednesday. The charity has launched a campaign to gather the voices and views of Africa's poor.
The views are expected to be presented to the leaders of the group of seven western industrialised countries and Russia during the 6-7 July Group of Eight (G8) summit in Gleneagles, Scotland.
ActionAid's social campaigners hope to lobby the leaders to support fairer terms of trade for developing nations, debt cancellation, increased aid, support for better health care projects, including providing treatment for those in poor societies infected with HIV/AIDS, better education opportunities for the poor and the improvement of agriculture.
"We have enough problems," Munene said. "Let those who have the ability help us."

HELP US - SLUM DWELLERS
The chairman of a community-based organisation in Kibera, Onesmus Nyamai, emphasised that the slum dwellers were not irredeemable, and were able to initiate projects to improve their lives, but had limited capacity due to their extreme poverty.
"We have initiated water projects, built pit latrines and started a nursery school that is benefiting 400 children, mainly orphans," Nyamai said.
"Why can't those [countries] owed money by our governments reduce or cancel the debts so that our governments can have more money to support us," he added. "These issues should be discussed at the international level. This is not politics, we are only asking for some help."
Josephine Kamene, a single mother of six who uses clay and plastic beads to make jewellery, said she dreamed of being able to access micro-credit services to expand her business and hoped that one day, she might be able to export her wares.
"My message to the G8 leaders is that I just want a little help," Kamene said. "I have a trade and I am ready to train others, but the cost of capital is high. Right now all I can afford is food and even that is a problem sometimes."
Kamene’s small hut also accommodates her sister, Priscilla Kathina, who travelled from her rural home in the southern District of Kitui to seek treatment in Nairobi when she contracted tuberculosis.
"I hope one day I will be able to take my children out of the slums where they are exposed to the danger of frequent fires, thuggery and prostitution. I would really like to improve my life," Kamene said.

GET ON BOARD – ACTIONAID
ActionAid is using a bus as the symbol of its campaign, and intends to use this roving representative to mobilise developing countries to challenge the G8 leaders to support, rather than undermine, the efforts by Africa's poor to overcome poverty, injustice and social exclusion.
The crusade has been dubbed the "Get On Board” campaign.
"The bus is a symbol of the most excluded people in Africa and it is carrying what the poor are saying to the G8 countries," Asenath Omwega, ActionAid's regional director for Africa, told reporters in Kiberia.
The bus left South Africa on 1 April on an epic voyage to Scotland, traversing Mozambique, Malawi and Tanzania. The bus will travel to Uganda after touring western Kenya.
On 15 May, it will be driven to the Kenyan port of Mombasa, from where it will be shipped to Marseille, France, for the onward journey to Britain via Italy, and finally to Gleneagles on 6 July, the G8 summit’s opening day.
"During its journey in parts of Africa the [bus] team has met with unbelievable stories - of tragedy, as well as passion and real hope," ActionAid said. "The bus carries some of their powerful messages to the world's as well as their own political leaders."

© IRIN


2 maggio 2005

THE DAILY NATION
Rich urged to cancel Africa's Sh300bn debt
Story by LUCAS BARASA
05/02/2005

ActionAid official Lise Melvin who is among the people on the "Get on Board" bus collecting debt and poverty views from the public in Africa (centre), share a joke with Kenya's Ms Rose Mandeya as the latter tries her hand at steering the vehicle when it entered Kenya at Namanga from southern Africa yesterday.
The rich nations were yesterday asked to cancel Africa's Sh300 billion debt and help to reduce poverty on the continent.
A team on a bus ride around Africa to collect views to be forwarded to a meeting of the world's most powerful leaders in Scotland on June 6 also called for more aid for the continent.
The group also called for a reduction of the trade imbalance between the poor South and the rich North and the lowering of the cost of Aids treatment.
They called for good governance in Africa for better use of resources.
The bus dubbed "Get on Board" started its journey in South Africa and entered Kenya through Namanga yesterday. It was received by Kenya Poverty Eradication Commission chairman Gilbert Oluoch, ActionAid country director Joyce Umbima and Tanzania's East Africa Legislative Assembly members Adan Abdullahi and George Nangale.
The poor are to give views on trade, aid, debt and Aids, which will be presented at the meeting of G8 (group of eight most industrialised nations) leaders. "It is the first time to collect views from the poor and the down-trodden for such a meeting," Mr Abdullahi said.
"It is important to publicise the problems people in Africa are facing," he added. "It is a noble idea and I appeal to the G8 to look at the views raised collectively."Mr Nangale said it was Africa's "moral obligation and right" to get aid from the developed countries. ActionAid official Njeri Mwangi, who is coordinating the bus trip, said it was part of the Global Action Against Poverty's policy to involve communities at the grassroots.
Africa's debt stands at Sh300 billion and should be cancelled and resources channelled to education, health and other infrastructure, she added.
Mr Oluoch said 56 per cent of Kenyans live the below the poverty line of about Sh76 a day. The figure increased from 3.7 million people in 1972 to 11 million in 2001. It is now 18 million.
Maasai elder Mengati ole Kisarmoi said Africa's future would be bleak if Aids was not contained.
Another ActionAid official, Ms Rebecca Wabwoba, announced that President Kibaki was expected to launch a global campaign against Aids at Kenyatta International Conference Centre, Nairobi, tomorrow.
Before the launch set for 10.30 am, the bus's team will be in Parliament to petition it on access to Hiv/Aids treatment.
The bus is expected at Kibera slums on Wednesday before proceeding to Nakuru, Eldoret, Budalangi and Busia.


18 aprile 2005

THE DAILY NATION
IMF's poverty plans 'making it unpopular'
Publication Date: 4/18/2005
Story by KEVIN J KELLEY in New York

Africans hold an increasingly negative view of the International Monetary Fund, its ministers have declared.
The ministers, among them Finance minister David Mwiraria, charged at the fund’s spring meeting in Washington at the weekend, that this was due to IMF's failure to reduce poverty.
The ineffectiveness of the IMF’s poverty-reduction and debt-relief programmes made it difficult to implement economic reforms because "they are perceived as policies imposed by the IMF", the African governors declared.
The IMF also continued to impose "politically sensitive" conditions on its loans to Africa, "which makes it difficult to keep the programmes on track", the governors added.
They urged the fund to "promote outreach and dialogue with the broader African population", and called for increased African representation at the upper levels of the IMF staff and in its decision-making organs.
Africa currently accounts for 43 of the IMF’s 184 governors – one for each of the fund’s member countries.
But Africa holds only 4.4 per cent of the voting rights within the IMF, which are allotted in accordance with the amount of money countries contribute to the fund. The US has the greatest single say, with 17 per cent of voting rights, followed by Japan with 6.1 per cent and Germany with 6 per cent.
Efforts to meet the 2015 deadline for achieving the UN’s Millennium Development Goals have been "unsatisfactory", the African governors said.
They further criticised rich countries for refusing to reform their "trade-distorting policies" and for giving insufficient attention to Africa’s needs concerning agriculture, energy and infrastructure.
The governors’ critique coincided with the rich countries’ failure, once again, to devise a debt-cancellation initiative for Africa.
Finance ministers of the Group of Seven (G-7) rich countries attending the IMF meetings were unable to agree on how to pay for such a move.
But Britain’s Gordon Brown, who has been campaigning for major increases in aid to Africa, predicted on Saturday that a debt-lifting deal would be reached by the time of the G-7 July summit in Scotland.
A more positive picture of Africa’s prospects is presented in an IMF report released in the run-up to the meetings. It notes that 20 sub-Saharan nations have achieved annual economic growth rates of more than five per cent.
Kenya’s growth this year is projected at 3.5 per cent.
But African clothing exporters could soon lose thousands of jobs due to the lifting of trade quotas that had restricted sales by China, the report warns, adding that "the pressure on employment could be severe".


13 aprile 2005

THE STANDARD
What Kenya must do to receive aid
Wednesday April 13, 2005
By Tom Mogusu

The Government yesterday agreed to a long list of conditions it must meet in the next one year before it can get more money from donors.
Most of the funds for development projects will remain intact, though no significant new pledges were made.
"We discussed important policy reforms and agenda for Kenya and which should be implemented as a way of enabling Kenya access the funds that had been pledged," said Mr Makhtar Diop, the World Bank’s Country Director for Kenya, Eritrea and Somalia, at the end of the two-day consultative meeting.
Diop described the meeting as a success.
"This was a truly consultative meeting. It is not one which people came from abroad to tell this government what to do," he said.
After two days of consultations in a high-powered meeting between Kenya its donors, the government acceded to demands first broached by the private sector and civil society that it first demonstrates serious commitment to fight corruption.
Though discussions during the second day were generally described as positive, allegations of increased corruption and what the donors termed as the Government’s slow pace in fighting the vice overshadowed a bigger economic and development debate. The meeting was closed to the media, but there was a press briefing after 7pm.
Sources say that the Government agreed to fast track the implementation of a five-point strategy that should pave the way for the promised budgetary support. This includes:
Enactment of legislation to establish a legislative platform on which to anchor the war on corruption.
Vigorous enforcement of anti-corruption laws through investigation of corruption offences and economic crimes, as well as recovery of corruptly acquired property.
Identification and sealing of loopholes through institution of effective public sector management controls.
National public education aimed at stigmatising corruption and inducing behavioral change.
Implementing macroeconomic and structural reforms to reduce the incidence and demand for corruption by scaling down the role of the public sector and bureaucracy.
The strategy was not part of the original agenda of the meeting.
Finance minister David Mwiraria confirmed that the action plan had been agreed upon and said the Government would also review existing provisions governing the conduct of public servants to ensure that they support the effective implementation of the action plan.
Such a review, said Mwiraria, would address issues such as conflict of interest, adherence to relevant Code of Ethics and efficiency, accountability and transparency in the conduct of public affairs.
The donors are also asking the Government "to engage in regular dialogue with Parliament, civil society, the private sector and the international community."
"While the Executive arm is fully committed to fighting corruption, support of the other two branches together with the general public is crucial," said Mwiraria.
One of the major undertakings by the Government is that it will expand the jurisdiction of Special Magistrates’ Courts to enable them to deal with corruption and economic crimes cases.
It will also empower the High Court to appoint receivers for property suspected to have been obtained through corruption.
The Kenya anti-corruption commission will also be empowered to take over corruption-related cases that have already been commenced by the police.
Mwiraria also called on donor governments to prosecute foreign companies colluding with Kenyans in corrupt deals.
"If perpetrators of corruption know that they cannot run and hide abroad, they will think twice about engaging in acts of corruption," he said.
Diop said that other than the strategy on anti-corruption, the discussions dealt on efforts to improve accountability, ownership of development and economic growth and democracy.
"We discussed governance because there is an increasing concern by Kenyans themselves on how the government was addressing these issues. We spent three hours discussing governance and agreed to set-up an action plan that will be monitored and evaluated from time to time," he said.
Even though the consultative meeting did not dwell on releasing additional funds to Kenya, Diop said the Government’s ability and speed in implementing the growth agenda was also on the discussion table.


13 aprile 2005

THE STANDARD
UN: Kenya falling behind in Millennium Goals
Wednesday April 13, 2005
By Benson Kathuri

About 15 million Kenyans live in abject poverty, United Nations agencies in Nairobi said yesterday.
They said Kenya was likely to miss seven out of the eight desired Millennium Development Goals (MDGs).
In a joint statement read by the United Nations Development Programme (UNDP) Resident Representative, Mr Paul De la Porte, the agencies said poverty levels were worsening.
Porte said leading indicators showed the country had also lost track of other goals.
"The 2003 MDG progress report and the recently concluded needs assessment for Kenya show that with the exception of primary education and HIV/Aids, the country is not likely to meet all the other MDG targets," he said.
The agencies expressed concern over the widening gap between the rich and the poor. The inequality, they said, was a big blow to poverty alleviation. They say absolute poverty remains high as the number of the poor had increased from 12.5 million in 1997 to 15 million.
"There are only very limited prospects of achieving the MDGs at the current pace of economic growth, and important investments in key sectors of the economy such as agriculture and health," they said.
Porte said the gross inequality had worsened poverty, insecurity, crime, social unrest and undermined the overall economic growth and development of the country. The crime rate in Kenya rose by 51 per cent between 1994 and 2000. He urged the Government to develop resources at the community level.
"This, however, calls for the promotion of good governance, the rule of law, and the protection and promotion of human rights. It is discouraging that hunger continues to rise and the country is unlikely to achieve MDGs if this trend continues," he said.
The donors were also concerned that the delayed constitutional review was hindering economic development. The UN agencies said a new constitution would address the fundamental development question of service delivery comprehensively and with finality.
Health Minister Charity Ngilu, who presented the health report, said almost all leading health indicators were on the decline. Life expectancy; infant and child mortality had worsened, with life expectancy at birth for women going down to 48 years compared to 47 for men.


11 aprile 2005

THE DAILY NATION
Cancel Africa's Huge Debts, Social Workers Tell Donors
April 12, 2005
Richard Chesos

Donors have been told to cancel African countries' debts.
Hundreds of social workers from all over the world, who are gathered in Nairobi for a five-day conference, yesterday said the fight against poverty in the continent could only be won if debts were waived.
The theme of the sixth Pan African meeting at Kenyatta International Conference Centre is Professional Social Work and its Contribution to Africa's Development. Delegates from 28 countries are attending the meeting.
The more than 300 participants were drawn from NGOs, government departments, church organisations, local authorities, health and social work training institutions, among others.
The president of the International Federation of Social Workers (IFSW), Ms Imelda Dodds, said Africa was becoming poorer while paying huge debts.
She urged the International Monetary Fund (IMF) to extend its planned debt relief to Zambia to other countries.
Ms Dodds said her organisation would continue campaigning for debt relief to Third World countries, particularly this week to mark the Global Week of Action on Debt Relief.
The social workers' campaign coincided with a crucial meeting between the Government and donors at the School of Monetary Studies at Ruaraka, Nairobi.
The KICC meeting was opened by Gender, Sports, Culture and Social Services deputy permanent secretary Moses Gitari on behalf of minister Ochilo Ayacko.
IFSW Africa region's vice-president Charles Mbugua said social workers had a critical role to preach peace in the continent's volatile countries. Mr Ayacko said Africa was facing many social problems and such conferences could provide a forum for sharing experiences with a view to solving them.
"The role of social workers is not only significant but also challenging and complex due to the fluid socio-economic environment and increasing poverty levels, which have been worsened by the devastating impact of HIV/Aids pandemic, especially here in the African region," he said.
The minister asked the participants to use the forum to draw out ethical parameters of social work practice.


11 aprile 2005

THE DAILY NATION
Forgive our debts or we shall remain poor
Publication Date: 4/6/2005
Mr Sisule *

The man slated to become World Bank President, Dr Paul Wolfowitz, has started on a politically correct note. It is fashionable for anybody looking to sound good on the international stage to invoke a dedication to ending poverty, especially in Africa.
But one would be forgiven for wondering why the Bank, and its twin, the International Monetary Fund (IMF), have failed to achieve this feat in the 60 years of their existence.
The Bank and the IMF boast vast financial and human resources, yet they have presided over growing poverty in Africa and widening inequality in South America and Asia.
Where progress has been made in poor countries, it has been because of ignoring or moderating the prescriptions imposed by these two institutions.
For instance the credit for the resurgent growth in Asia, South America, Egypt and South Africa is largely credited to prudent actions on the part of governments, contrary, in fact, to what the Bank and the Fund may have wished.
It would seem any country that strictly follows the advice of the two multilateral organisations blindly, is doomed to heavier debts and poverty as many African countries have belatedly learnt.
The fact remain that the institutions pursue structural changes to economies without giving due regard to the effects of such changes on social progress and political stability. Their prescriptions are sworn on the bible of macro-economic fundamentals with little attention being to the micro-economic realities.
Sub-Saharan Africa is the only region in the world to have grown poorer in the last decade. The area has the lowest life expectancy, the highest child mortality and the worst adult literacy. Healthcare and infrastructural facilities are either non-existent or decrepit.
Whereas poor governance could be a contributory factor to the morass, it is not the main reason for Africa's poverty. Clearly, a majority of African countries have improved their governance over the last two decades. Between 1990 and 2005, at least 35 of the 55 African nations have become functional democracies with free and fair elections. Only 11 are under dictatorship or are engaged in war. Yet poverty has been rising as Africa democratises.
It is obvious that the cause of poverty in Africa is poor access to international markets and the heavy debt burden. Good governance will only work if it is matched by a fair deal in international trade and the cancellation of debts.
Net official aid had declined from $16,552 million in 1996 to $13,933 in 2001. As a result, debt service as a percentage of export of goods and services had declined from 20.4 per cent in 1996 to 10.6 per cent in 2002. Since most of the rich countries are stingy with aid anyway, it is a good thing that Africa is learning to live without it.
The wealthy nations are flagrantly hypocritical in handling the debt problem. The Bush administration took just a few days to help cancel the $120 billion owed by Iraq because the country is an important source of oil for America. Yet successive US administrations have opposed total debt forgiveness for other poor countries deemed to be of less strategic importance.
The Heavily Indebted Poor Countries (HIPC) Initiative run by the IMF had only cancelled $31 billion by the end of 2004 out of the $110 billion agreed in 1996. This is a misguided policy since debt is a threat to world peace as it creates fertile ground for conflict and terrorism.
A strategy is needed to end the African debt problem. The most substantial part of debt is the "political" bit owed to foreign governments and multilateral organisations, dealt with under the Paris Club, IMF and World Bank negotiations. The other proportion of the debt stock is the "commercial debt" owed to banks and bondholders dealt with under the London Club.
The first part of the strategy should be a publicity campaign within industrialised countries and in multilateral organisations to sensitise people on the damage the debt burden has done on poor economies.
They should be told that poor countries cannot afford to pay back these debts, now or in the future. Not when children are dying from hunger, sicknesses are ravaging the masses, and poverty is getting worse.

* Mr Sisule is a consultant with AfricaIntel.com


11 aprile 2005

THE STANDARD
Extend debt relief, urges President
Tuesday April 5, 2005
By Waweru Mugo

President Kibaki yesterday urged developed countries to extend debt relief to accelerate delivery of water, sanitation and housing to the rest of the world.
President Kibaki also urged the donor community as well as countries with financial ability to contribute to a global initiative that seeks upgrading of slums.
Addressing a UN-Habitat meeting in Nairobi yesterday, he said ongoing slum upgrading would be humane with minimal displacement.
"Upgrading of slums has been given high priority and will be undertaken with minimal displacement of slum dwellers to cater for proper planning and provision of infrastructure," Kibaki told the 20th Session of the Governing Council of UN-Habitat at Gigiri.
Habitat Executive Director Anna Kajumulo Tibaijuka urged the world to act fast to check the rapid growth of slums that she described as epitomes of "dehumanising squalour".
About 1,000 delegates, including ministers, government representatives, mayors, local authority officials, UN officials, NGO representatives and community groups are attending the four-day meeting.
Nobel Peace Prize laureate Prof Wangari Maathai attributed increasing rural-to-urban migration to environmental degradation.
"Their land has become degraded and too fragile to sustain livelihoods. They are environmental refugees," said Prof Maathai.
Told the gathering that included Unep boss Klaus Toepfer and Kenyan ministers Amos Kimunya (Lands and Housing), Chirau Ali Mwakwere (Foreign Affairs) and Musikari Kombo (Local Government).
"Slums and squatters promote further degradation of the land through removal of trees, vegetation, pollution and inadequate waste management," said Maathai.


10 aprile 2005

THE STANDARD
Campaign for debt relief, Maathai tells Africa
Thursday March 31, 2005

African countries should talk less and campaign more for debt relief to combat poverty, Nobel Peace Prize winner Wangari Maathai said yesterday.
She said poor countries should put more emphasis on fair trade and avoid further destruction of the environment.
"If countries in Africa are forced to pay, we will have to cut the trees, scrape the land, overgraze the pasture," Maathai said.
Prof Maathai was speaking in Japan at the opening of the Forum of Expo 2005 Aichi, which was attended by Gro Harlem Brundtland, a former Norwegian prime minister, and Kazumoto Yamamoto of the Japan-based Asahi Kasei Corporation.
The Expo, whose theme is Nature’s Wisdom, will run through September.
Maathai said poor countries were not asking for favours from the rich, but space.
"I have found it very difficult to see how people can be committed to ending poverty but not to debt reduction. Sometimes we ask poor governments to do the impossible," she said.
Until policies on debt and trade change, Maathai said, efforts to realise the United Nations’ Millennium Development Goals will be in vain.
Maathai, who is also an Assistant Environment Minister, urged the world to adopt "mottainai", a Japanese term for reducing, reusing and recycling resources.
She introduced a fourth "R" for "restoration of the environment".
"Nature is very unforgiving and if we destroy her, we will suffer. As an individual, you can practice the spirit of ‘mottainai’," she said.


30 marzo 2005

THE DAILY NATION
US bows out of Blair aid plan for Africa
Publication Date: 3/25/2005
Story by WASHINGTON AKUMU in Paris

The US will not adopt a British formula for increasing aid to Africa.
The strategy is part of Prime minister Tony Blair's recently-launched economic blueprint for the continent.
The US Treasury Undersecretary for International Affairs, John Taylor, said yesterday that while the US supported in principle Britain's Economic Commission for Africa (ECA) Report, it could not commit itself to long-term financing it.
He says: "The ECA Report has some good material on ways to reduce poverty. We support its goals and agree with its emphasis on measurability.
"The proposed International Finance Facility works for Britain and other countries, and that is fine. But for us, and others like Canada and Japan, our laws are such that the legislature cannot commit the nation's funds many years into the future."
Mr Taylor was briefing the Press at the US Embassy here on Wednesday, on the Financial Facility, a central cog in the British plan.
He spoke ahead of a two-day observation of meetings of the Organisation for Economic Co-operation and Development states.
Under its plan for Africa's economic resuscitation, the British government has been lobbying rich countries to double their aid flows to Africa from the current $55 billion to $100 billion through a programme that requires the donor states to make long-term commitments.
A country like Kenya could then use the same amount as security to enable it to borrow from the capital market.
According to media reports, Italy, France and Germany support the financing facility, which is being aggressively marketed by British chancellor of the Exchequer Gordon Brown.
But Mr Taylor said that, while US citizens had shown that they were "generous" in helping the world's poor, they wanted first to be shown evidence that their money is making a difference. He also dismissed a French plan to target certain taxes for aid.
In what would seem to be open season for economic prescriptions for Africa, French President Jacques Chirac proposes that new aid be paid for by levying taxes on arms sales or transactions that abet pollution.


21 marzo 2005

CATHOLIC INFORMATION SERVICE FOR AFRICA (CISA)
KENYA: African Union Should Push for Debt Cancellation
Issue No. 409, Tuesday, March 15, 2005

NAIROBI, Kenya, March 11, 2005 (CISA) -The African Union (AU), being the pan-African intergovernmental body that can assess the laws governing debt and the statutory and other obligations of lenders, should play a crucial role in ensuring that debt is cancelled in the African continent.
This is one of the key points that came up at a forum hosted by Kenya Debt Relief Network (KENDREN) in Nairobi on Thursday, March 10, 2005.
Opa Kajimpanga, chairman African Forum and Network on Debt and Development (AFRODAD), said that failure of development in any country should be attributed to those delegated in authority.
AFRODAD is a research, lobby and advocacy regional organisation seeking to secure positive policy changes to redress Africa's debt and development crisis in order to achieve equitable and sustainable development.
"We as people have the right to interrogate the state whenever our rights are violated," Opa said.
For debt cancellation, Opa declared that different states should interact in an equal status and help the weaker one among them.
"The African countries should only pay between 5 to 10 per cent of the debt burden that has accrued over the years," Opa told CISA after the function.
A local co-ordinator for Millennium Development Goals (MDG's), Wahu Kaara, urged participants to act on the millennium goals instead of letting leaders fight poverty alone.
"Let's make poverty history because there are no excuses any more," said she.
While emphasising on the goals that included a global partnership for development, Kaara said that leaders only provide the blue print, while citizens are charged with ensuring that the goals are not only articulated but also become a reality.


19 marzo 2005

THE DAILY NATION
Rights body to help Kenya's debt relief bid
Publication Date: 3/19/2005
Story by MUGO NJERU

A campaign has been launched to help relieve Kenya of its foreign debt burden of more than Sh700 billion.
So grave is the situation, says a Nairobi human rights organisation whose initiative it is, that each child born today inherits a Sh44,269 debt.
The Chambers of Justice wants Kenyans, in particular, and Africans in general, to take their debt relief call to the G8, the grouping of the world's industrialist nations, at its annual meeting in the Scottish tourist engrave of Gleneagles in July.
It is at the summit that the African recovery plan spearheaded by Britain – A G8 member – will be adopted or rejected.
Dubbed Africa's Marshall Plan, the initiative proposes an injection of $25 billion (Sh2 trillion) a year in aid to black Africa in the next three to five years and $50 billion (Sh4 trillion) annually thereafter.
It also proposes a cancellation of 100 per cent of the debts owed by the world's poorest countries and the lifting of trade barriers constricting Africa's share of the international trade.
The plan calls for the removal of barriers to black Africa's exports and demands an immediate end to the rich nations' subsidies on cotton and sugar by 2010.
It also wants improved performance by African rulers and calls on the rich to rein in bribe givers from their countries.
Mr Ababu Namwamba, Chamber of Justice's chief counsel, said during the launch yesterday that the campaign aimed at collecting 1 million signatures from those who support Kenya's call for debt relief.
It also aimed at increased and better targeted official development aid as well as fiscal discipline in the government.
Mr Namwamba said a memorandum based on public hearings to be held in all the eight provinces would be adopted by May for onwards presentation to the summit.
Members of Parliament, he said, would be sensitised to push the government to make Kenya's presence felt at then summit.
Although he did not disclose the venue, Mr Namwamwa said a retreat had already been scheduled for the MPs to specifically lobby for this.


14 marzo 2005

THE STANDARD
Pessimism greets UK’s rescue plan for Africa
Friday March 114, 2005
By Matthew Green*

"We’ve heard it all before" was the response from many Africans to Britain’s new rescue plan for the continent, revealing doubts over whether well-meaning words will translate into action.
Britain unveiled a dossier challenging the rich world to end "appalling" market protectionism and give an extra $25 billion a year, echoing calls for more trade and aid that Africans have been writing up in action plans for years.
"This whole effort is a slap in the face of Africa," said Pete Ondeng’, head of a private body mobilising resources for a home-grown African economic plan, the New Partnership for Africa’s Development (Nepad), launched in 2001.
"What is coming out of the report is not surprising because there is nothing that you can tell me that hasn’t been thought through before in terms of the problems," he told Reuters in the Kenyan capital Nairobi.
While Africans generally support the calls by the London-sponsored Africa Commission for the rich world to rewrite global trade rules to help millions of impoverished farmers sell their produce abroad, the real test will be whether the European Union and G8 group of rich nations adopt the plan.
"Its implementation will depend more on how much they are willing to fulfill their promises," said Manenga Ndulo, an economics professor at the University of Zambia. "Previously we have had so many plans which have not been fulfilled."
Government officials in Kenya, a long-standing ally of Britain, gave a cautious welcome to the document although even they acknowledged the level of scepticism.
"Let us not be too pessimistic about what the commission is likely to achieve," said Planning minister Peter Anyang Nyongo. South African President Thabo Mbeki said he had not had a chance to read the 464-page report, which some Africans say British Prime Minister Tony Blair backed mainly to boost his standing after Iraq tarnished his image.
"I do hope that it will indeed serve the purpose for which it was intended," Mbeki told reporters, saying it should lead to progress in Nepad and an existing G8 Africa Action Plan.
Calls for greater aid are common refrains among African leaders, but some analysts said even more than the proposed $25 billion a year would be needed to make serious progress on basics like health, water, education and roads.
"This will definitely augment our efforts but much more aid needs to flow to Africa if we are to catch up with development," said Erastus Mwencha, head of the Common Market for Eastern and Southern Africa (Comesa) trade bloc. He said $15 billion a year was needed for infrastructure alone.
The commission also called for 100 percent debt write-offs for the poorest nations, an arms treaty to regulate weapons flows into Africa, punishment for Western businesses that pay bribes, and repatriation of stolen funds.
"That the commissioners are well-intentioned men and women is beyond doubt," wrote Ugandan commentator Andrew Mwenda, one of 16 African journalists invited to London for briefings on the Africa Commission. "But it is an effort most likely to produce very little."
In Madagascar, a giant Indian Ocean island off the southeastern coast of Africa, reaction was similarly tepid.
"This is nothing new," said Airy Ramiarison, senior economics lecturer at the University of Antananarivo in Madagascar’s capital, referring to debt relief plans.
"Maybe instead of suggesting a new initiative, the rich countries could just stick to the promises they have already made," he said.
*(With Shapi Shacinda in Lusaka, Gershwin Wanneburg in Pretoria, Gordon Bell in Cape Town, David Mageria in Nairobi and Tim Cocks in Antananarivo).


14 marzo 2005

THE STANDARD
World Bank to support Blair’s Africa plan with cash
Monday March 14, 2005
By Tom Mogusu

The World Bank will increase its budget for Africa over the next one decade in order to boost the British government’s efforts to address poverty on the continent, it has been announced.
Mr James Wolfensohn, the bank’s President, said the bank would increase its allocations for African projects as proposed by the Africa Commission report that was launched last Friday.
"The World Bank Group strongly endorses the Commission for Africa Report and we hope that the global community will work to advance its principal recommendations," he said in a statement posted on the bank’s website.
"The Bank group stands ready to scale up its assistance to Africa and to work with countries to help themselves in attacking obstacles to greater growth and poverty reduction," Wolfensohn said.
His pledge is based on the Commission for Africa report, which calls for the doubling of aid to sub-Saharan Africa, including investment of $150 billion in infrastructure over the next one decade. It also calls for investment in assets such as rural roads, safe water, ports, transport networks and power generation.
The report says investments by donors in these sectors would trigger growth and job creation- a fact that would help Africa make progress towards the Millennium Development Goals (MDGs).
The Commission for Africa is an initiative if the British Prime Minister Tony Blair, whose aim is to rescue African from acute poverty and economic decline. The commission was set-up last year by to take a fresh look at how the international community can support Africa’s development. It will also try to galvanise Europe to focus more on Africa, which is ranked as least developed thanks to rampant poverty, economic stagnation and huge debts that stand at $350 billion (Sh28 trillion).
By the end of 1998, debt repayments amounted to $30 billion (Sh2.4 trillion) or 25 per cent of the continent’s exports. Kenya’s accumulated debt is $45 billion (Sh3.6 trillion). The Africa commission report also comes at a time when Africa’s debt burden has risen 24-fold over the last 34 years. The proportion of those living in abject poverty in the continent has also shot-up from 100 million to 304 million over the same period. Such statistics were included in the Commission’s report, triggering the World Bank to suggest that it was willing to lend a hand in addressing issues surrounding poverty and the need to meet the MDGs goals.
"We share the hope expressed in the report that the unacceptable trends of impoverishment and marginalisation in the world’s poorest region can be reversed," Wolfensohn said.
He, however, urged African countries to play their role in the fight against poverty by rolling out domesticated reforms and initiatives that tackle poverty. Said Wolfensohn; "African governments can build on progress already evident in a number of countries that have reduced conflict, and are addressing corruption to cut poverty levels."


14 marzo 2005

THE DAILY NATION
Blair report calls for massive aid to Africa
Publication Date: 3/12/2005
Story by PAUL REDFERN in London

An ambitious Africa recovery plan sponsored by British Prime Minister Tony Blair yesterday challenged the rich world to end "appalling" trade protectionism and inject an extra $25 billion (Sh2 trillion) a year in aid.
But the report faced a daunting task to gain acceptance from the Group of Eight (G8) rich nations and win over sceptics who saw it as nothing new.
British High Commissioner Sir Edward Clay and Planning minister Anyang' Nyong'o with a copy of the Blair commission report during a news conference at the minister's Treasury Building office in Nairobi yesterday
"African poverty and stagnation is the greatest tragedy of our time," said the 464-page report by the commission, which includes Mr Blair, his finance minister, several African leaders and Irish rock star turned campaigner Bob Geldof.
Its promoters liken it to the post-Second World War "Marshall Plan" for recovery in Europe.
"Let us today pledge to make 2005 the year our eyes opened to the full reality of Africa," Mr Blair said at a London launch for the plan.
"To the horror of its daily and preventable death toll, to the grinding misery of so many millions of its people, yet also to the hope that together we can change that reality for the better."
Critics, however, said the report’s lofty words would go the same way as previous Africa plans unless rich nation groups like the G8 and the European Union, both of which Britain chairs this year, put their money where their mouths are.
Immediate reaction from Africa, where some view the plan as a way for Mr Blair to recoup public relations damage caused by his Iraq policy, was sceptical.
While South African president Thabo Mbeki said he hoped the report "will indeed serve the purpose for which it was intended", Madagascar economics lecturer Airy Ramiarison told rich countries to "just stick to the promises they have already made".
Mr Pete Ondeng’, head of a lobby for a home-grown African economic plan, called it "a slap in the face of Africa." Western charities were cautious too. Britain’s ActionAid called the recommendations "an ambitious but realistic agenda" and said: "The first real test will be whether it is acted upon at the G8 leaders’ Gleneagles summit (in Scotland) in July."
A central plank for funding the plan - the British-proposed International Finance Facility to borrow against future aid pledges - has already drawn US opposition.
The report called for a vast increase in aid to Africa - an extra $25 billion a year until 2010, and $50 billion annually thereafter.
The report says Western companies are often as guilty as African governments since they sell lucrative deals to corrupt regimes through bribes, making the West play a major part in perpetuating corruption.
It adds: "If it does so in its own activities - and demands it in the activities of private sector agents, like the multinational companies active in developing countries - then it will encourage similar standards in the way African countries manage cash."
"It is pointless to bemoan African corruption when (the West) does not take the measures to counter it."


11 marzo 2005

La Repubblica on-line [www.repubblica.it]
Un New Deal per l'Africa
la povertà e la stagnazione sono la più grande tragedia del nostro tempo
di TONY BLAIR
11 marzo 2005

UN ANNO fa ho istituito la Commissione per l'Africa affidandole il compito di elaborare un piano coerente e globale di reali cambiamenti che avrebbero contribuito a realizzare un'azione energica e proficua. Nel corso degli ultimi dieci mesi, 17 commissari indipendenti (in maggioranza africani) hanno tenuto ampie consultazioni con l'Unione africana, i governi, gli specialisti dello sviluppo, le Ong, gruppi religiosi, accademici, filosofi, economisti, capi d'impresa, gruppi giovanili e femminili, in 49 paesi africani e non. Nel rapporto della Commissione, pubblicato oggi, abbiamo quel piano.
Il rapporto s'intitola "Il nostro interesse comune", ed è questo interesse comune a cui lavorerò nel corso delle presidenze britanniche sia del G8 che dell'Ue per realizzare un cambiamento per l'Africa. Il supporto dell'Italia in entrambe le organizzazioni sarà essenziale.
Mi auguro leggiate il rapporto; credo che ciò che emerga sia la robusta analisi dei problemi e la ampia e ambiziosa natura delle soluzioni proposte. Questo non è un rapporto espresso nel solito linguaggio diplomatico. È eccezionalmente schietto circa i fallimenti dei governi e delle politiche sia in Africa che nel mondo.
La povertà e la stagnazione africane sono la più grande tragedia del nostro tempo. È un fatto inaccettabile che l'Africa continui a rimanere sempre più indietro quando, come mostra il nostro rapporto, le politiche giuste potrebbero generare tassi di crescita economica fino al 7%, mettendo l'Africa in carreggiata per conseguire gli obiettivi del 2015 per lo sviluppo nell'ambito degli Obiettivi di Sviluppo del Millennio fissati dalla comunità internazionale nel 2000.
Il 2005 è il momento di agire, non soltanto perché ci sono dei programmi internazionali ma perché l'Africa sta compiendo progressi. Nell'ultimo decennio, 16 paesi dell'Africa sub-sahariana hanno registrato tassi di crescita di oltre il 4%. Più dei due terzi hanno avuto elezioni pluripartitiche. L'Unione africana sta assumendo un ruolo guida, soprattutto nella costruzione della pace e della sicurezza attraverso una politica di "non indifferenza", contro la vecchia non interferenza della precedente organizzazione dell'Unione africana.
Ma ci sono ancora enormi sfide. La catastrofe dell'Aids ne è un esempio. Il rapporto della Commissione è un'onesta valutazione di queste sfide. L'Africa è il continente più fortemente colpito dall'epidemia dell'Hiv/Aids: 20 milioni di africani sono già morti di questa malattia. In alcuni paesi, il 40% della gente ha contratto l'infezione. La probabilità di vita scenderà presto a soli 30 anni. Un altro esempio è la guerra in Sudan: per lo meno 2 milioni di persone sono morte nel conflitto nord-sud del Sudan negli ultimi 21 anni e altri milioni ne hanno subito le conseguenze.
Sappiamo che la comunità internazionale può e deve offrire maggiori risorse affinché l'Africa possa cogliere quest'opportunità. La Commissione chiede il raddoppio degli aiuti e la cancellazione del 100% del debito per i paesi che ne hanno bisogno. Questo non è gettare denaro dietro i problemi. Nel rapporto si dimostra come questo denaro può venire assorbito e impiegato validamente. E in maniera altrettanto importante, il rapporto mostra in che modo la comunità internazionale deve eliminare gli ostacoli allo sviluppo africano, a esempio abolendo le sovvenzioni e il protezionismo dei paesi ricchi nel settore agricoltura e anche riducendo le barriere commerciali interne in Africa. Questo, assieme alla crescita che migliorerà la capacità produttiva dell'Africa, è necessario per agevolare l'attività commerciale africana in un sistema internazionale più equo.
A livello bilaterale, Regno Unito e Italia stanno facendo il possibile per aiutare. I nostri due governi stanno collaborando strettamente sulla politica relativa all'Hiv/Aids in Africa. Il governo italiano ha dimostrato un particolare impegno nei confronti del mantenimento della pace in Sudan, e confidiamo di compiere ulteriori progressi per migliorare la capacità africana di mantenimento della pace. L'Italia inoltre è stata attiva negli ultimi anni relativamente all'iniziativa per i Paesi altamente indebitati e allo sgravio del debito, concludendo accordi sulla remissione del debito con 17 paesi africani, dal Benin all'Uganda. L'Italia si è poi impegnata a raggiungere entro il 2006 il livello minimo fissato dalla Ue dello 0,33% del Pil in aiuti, per muoversi poi verso lo 0,7%.
Ma tutti noi dobbiamo fare di più. Gli investimenti servono subito, quindi si devono trovare modi per colmare il divario. Gordon Brown ha illustrato un modo in cui farlo, mediante l'International finance facility, che raccoglierebbe altri aiuti in denaro mediante il leveraging dei mercati di capitale e l'emissione di obbligazioni.
Accolgo con favore il sostegno del ministro delle Finanze Siniscalco a questa iniziativa; ora dobbiamo operare uniti per tramutarla in realtà. Le basi per un'azione devono tuttavia essere in Africa. Gli africani devono determinare il futuro del continente. Due elementi essenziali sono la pace e la sicurezza e sistemi di governo trasparenti e responsabili dotati di risorse per agire a livello locale e nazionale. Al centro dell'orientamento della Commissione c'è anche la gente, con l'istruzione e la sanità a ogni livello come elementi essenziali per la realizzazione dei diritti della gente.
Riunendo tutte queste questioni in un unico piano, che non sia un elenco da cui "scegliere solo il meglio", il rapporto ci offre una base di lavoro comune. Come riconosciamo nel rapporto che le soluzioni devono tenere conto delle diversità dell'Africa, così credo che i componenti della comunità internazionale, iniziando con il vertice del G8 di quest'anno, saranno in grado di offrire il loro particolarissimo contributo per il raggiungimento degli obiettivi illustrati dalla Commissione.


10 marzo 2005

THE STANDARD
Government urges donors to soften foreign aid terms
Thursday March 10, 2005
Tom Mogusu

The Government yesterday appealed to the donor community to soften conditionalities attached to their loans to African countries.
Mr Donald Kibera, the Director of External Resources Department in the Ministry of Finance said most of the conditionalities were detrimental to the improvement of living standards in recipient countries.
"The conditionalities are often in conflict with the principle of country ownership," Kibera said.
"Donors therefore need to align all conditions with the recipient country’s poverty reduction strategy."
The push to put a stop to conditionalities was part of the Rome declaration that all development partners endorsed in February 2003.
Kibera said the conditionalities were partly to blame for the continued rise in the level of impoverishment in the developing world.
He was speaking at a Nairobi hotel during the opening of a Japanese government-sponsored consultative seminar on Official Development Assistance (ODA).
The seminar was attended by senior Government officers and representatives of key Japanese development agencies.
"We would like our development partners, including the Government of Japan, to harmonise their practices and other procedures used in lending out funds," Kibera said.
This, he said, was important if the desire to reduce the transaction costs that are normally associated with aid delivery is to be realised. Kenya is currently one of the leading recipients of Japanese aid, with the cumulative assistance standing at about Sh270 billion.
The assistance covers priority areas of co-operation such as economic infrastructure, education, human resource development, health, environmental conservation and rural development.
In 2003, Kenya received a total of US$43 million in Japanese assistance. This was in the form of grant aid and technical cooperation.
Kibera however suggested that time was ripe for the donor community to increase aid inflows to Kenya in line with the country’s monetary commitments.
There is also a need for the donor community to use knowledge management more effectively to better disseminate good practices on harmonisation. Projects should also be aligned to managing and realising results, Kibera said.
"There are concerns that donor countries should ensure that their field representatives and staff have the necessary commitment, flexibility, authority and expertise to achieve results."
While continuing to use project financing, Kibera said that there was also a need to increase use modalities are that are flexible in the dispersion of aid.
The Government has also asked donors to fund the development of capacity in public and community-based organisations.


7 marzo 2005

THE DAILY NATION
Cancel Third World debts, says Maathai
Publication Date: 3/6/2005
Story by KWAMBOKA OYARO

Nobel Prize winner Wangari Maathai has called upon developed countries to cancel debts owed by Third World countries.
Addressing delegates at the United Nations Conference on the Status of Women in New York, Prof Wangari said servicing debts continued to impoverish the already poor countries.
"This is punishing poor countries and women. Reducing poverty is one of the Millennium Development Goals but this can't be achieved without capital. We must all aspire to make poverty history."
To show their commitment in poverty reduction, Prof Maathai asked developed countries to open their markets for accessibility by developing countries as "this is fair trade''.
She dedicated her Nobel Peace Prize to all women. "Sisters, this wasn't an individual effort but a symbol of all of us. It was given to recognise women and the efforts we have made over the years."
She said her Green Belt Movement that won the prize was born during consultations by Kenyan women as they prepared for the women's first conference in Mexico in 1975.
Then, the greatest concern of the country's rural women and the message they wanted taken to Mexico was the need for clean drinking water, nutritious food, sufficient income and fuel [firewood].
"Thirty years after that conference that set the agenda for women's issues, we are still relating environmental issues to women. With global climatic change there is adverse impact on women as availability of water becomes scarce, yet deforrestation continues unabated," Prof Maathai told delegates who filled the conference room and spilled over to a second room and enthusiastically applaused their heroine.
To advance this, Maathi has picked 'Mutainai', a Japanese word, to spearhead her global campaign for environmental sustainability.
'Mutainai' means reducing consumption, reusing, recycling and repair - a summary of the four "R" principles for the conservation of resources.
"Wars are fought over resources. It is time we started to manage our resources efficiently and share them equitably to ensure peace reigns," she said, holding a T-shirt bearing Mutainai.
She adopted the name after she visited Japan recently and talked about the four "R's" and was told that the name described all the four principles.


1 marzo 2005

THE DAILY NATION
Kenya to Benefit From Sh2,720bn IDA Funding
February 26, 2005

Kenya is among 81 countries targeted by a Sh2,720 billion fund from the World Bank through the International Development Association.
Major donors have agreed to provide the funds for development assistance to poor countries through the 14th replenishment of the Association.
This is the first concrete step in bringing resources to the poorest countries, the World Bank said in a statement, released in Nairobi yesterday.
The Association is a World Bank affiliate that provides assistance to the world's poorest countries. Sh1,440 billion will be new contributions from 40 donor countries. "This represents, at a minimum, a 25 per cent increase in overall resources over the previous replenishment, and is the largest expansion of the IDA (International Development Association) resources in two decades," the statement said.
While donor countries made firm financial commitments to the replenishment, the statement said, some are still exploring the possibility of increasing their pledges to reach the 30 per cent target supported at the Athens IDA deputies meeting.
World Bank President James Wolfensohn was quoted in the statement as saying: "IDA is the lifeline for many of the world's poorest people and this increase in IDA